According to the Zhitong Finance APP, photovoltaic stocks continued their recent downward trend. As of press time, Xinyi Glass (00868) fell 5.71% to HKD 8.58, Xinyi Solar (00968) fell 3.25% to HKD 3.87, Flat Glass (06865) fell 2.52% to HKD 11.6, and Xinte Energy (01799) fell 0.51% to HKD 7.8.

CITIC Securities analyst Huapeng Wei previously pointed out that photovoltaic prices have bottomed out and supplies have peaked. Under the push of factors such as technological iteration, cost differences, inventory accumulation, and financial pressure, outdated production capacity is expected to accelerate out of the market, and the industry supply pattern is expected to be reshaped, bringing dawn to the industry chain. In May of this year, the China Photovoltaic Industry Association conference stated that it would strengthen the crackdown on malicious competition that sells below cost and encourage industry mergers and acquisitions to smooth market exit mechanisms.

Futures analysis by Guotai Junan Securities pointed out that global photovoltaic installation can still maintain high growth, but component demand will continue to decline. It is expected that global photovoltaic new installed capacity will reach 503 GW in 2024, a year-on-year increase of 15%. In terms of pace, considering the pressure of component inventory in Europe and China, coupled with the new US tariff system, it is expected that the component production rate will fall in the third quarter, and that production will be supported by end-of-year construction in the fourth quarter, but this support is not solid. The expected growth rate of component production throughout the year may only be in single digits.